Income vs. Net Worth

As a prelude to writing The Millionaire Next Door, I published an article in Medical Economics entitled “Why You’re Not as Wealthy as You Should Be.” Simply put doctors could and should accumulate much more and at a much younger age. In the same article, I pointed out that for every one high income producing doctor […]

Most people today in America are not wealthy, far from it. However, don’t be confused when you learn that the average net worth of an American household is $434,782. You may be thinking that even if an average American worker loses his job he will be able to live off of his wealth for five […]

I have lived in Georgia for most of my adult life, one of many New York transplants. I would not want to live anywhere else. In fact, my success in studying how people become wealthy as well as why so many people with high incomes accumulate little or nothing is related to where I live. […]

There are a lot of writers, reporters and politicians who need to go back to school. They continue to confuse income and wealth when talking about taxing the rich. When I use the term wealth, I am referring to the net worth of a household, i.e. all of its assets less all of its liabilities. […]